DoT panel prefers 100% FDI in telecom sector

The cumulative debt on the Indian telecom sector is around Rs 2,50,000 crore and the companies have been under pressure to pay back these loans.

FP Archives|Dec 20, 2014, 21:50:30 IST

New Delhi: A DoT panel has suggested completely opening up the telecom sector to foreign direct investment, a move which is expected to bring in fresh funds into the industry that is facing a financial crisis.

The FDI cap is currently fixed at 74 percent. 100 percent FDI in the offing? Reuters

100 percent FDI in the offing? Reuters

"This (hiking it to 100 percent) has been under consideration. DoT has started working on it. The proposal needs to be first cleared by Telecom Commission but we are not sure if it can be placed before the commission in the meeting scheduled for July 2," official sources said.

More details of the proposal to remove FDI cap could not be obtained.

The inter-ministerial body Telecom Commission in its July meeting is expected to discuss setting up of the Telecom Finance Corporation (TFC) for facilitating investments in the sector.

Divestment of government stake in Telecommunications Consultants India Ltd, review of National Optical Fibre Network (NOFN) status and progress made in different Telecom Development Parameters, are also on the meeting's agenda.

EU slaps Google with $1 billion antitrust fine over Play Store and Search practices

European Commission says Google unfairly favoured its own services on Search and the Play Store, violating the Digital Markets Act; the company calls the decision harmful to businesses and consumers.

1 min read

Brent crude flirts with $100, reigniting inflation and forex concerns for India

Experts say a prolonged rally above $100 per barrel is unlikely, but sustained high oil prices could push up inflation, widen the current account deficit and pressure the rupee.

2 min read

Can a record May offset a shrunk international schedule and help IndiGo turn a profit?

Record domestic market share boosts operating performance, but forex losses, rising oil prices and geopolitical disruptions could weigh on IndiGo's bottom line.

3 min read

China has dominated Myanmar’s rare earth mines — now India eyes deal to harness country’s critical minerals

India is deepening rare earth cooperation with Myanmar as New Delhi seeks alternative sources of critical minerals dominated by China, including dysprosium and terbium used in EVs, defence systems and clean energy technologies

6 min read

JPMorgan to hire 1,000 technology professionals for India GCCs amid AI-led transformation

Wall Street banking giant to expand hiring across cloud, cybersecurity and AI data pipeline roles as it strengthens its India Global Capability Centres despite AI-driven workforce optimisation.